The naira traded relatively stable against the United States dollar on Friday across both the official and parallel foreign exchange markets, as participants continued to monitor liquidity conditions and demand for foreign currency.
At the Nigerian Foreign Exchange Market (NFEM), the official exchange rate closed at approximately ₦1,368.22 per dollar, according to data published by the Central Bank of Nigeria (CBN). The official rate reflects the volume-weighted average of completed transactions in the formal foreign exchange market.
Recent CBN data indicates that the naira has continued to trade within a relatively narrow band around the ₦1,360 range in recent sessions, pointing to subdued volatility in the official market.
In the parallel market, commonly known as the black market, the dollar exchanged at about ₦1,405 per dollar, leaving a premium of roughly ₦37 over the official NFEM rate.
The spread between the official and parallel markets remains considerably narrower than the wide gaps seen throughout much of 2024 and early 2025, reflecting improved price convergence following the government’s ongoing foreign exchange reforms.
Market participants attributed the stability in the official market to steady foreign currency supply from exporters and other autonomous sources, while sustained demand from importers, travellers, and retail users continued to underpin rates in the parallel market.
Analysts said the naira’s near-term performance will likely depend on key fundamentals, including the level of external reserves, foreign portfolio investment inflows, crude oil export earnings, and overall foreign exchange liquidity.
For retail users seeking small amounts of foreign currency, the parallel market continues to provide faster access to cash dollars. Businesses and corporate customers with the required documentation, however, are expected to obtain foreign exchange through authorised banks and the official NFEM window.
